WOW what took you all so long? Another one bites the dust.

IUPA Police Union Pledges to Clean Up Fundraising Efforts, Citizen Group 2 CENTS Reports

IUPA Police Union Pledges to Clean Up Fundraising Efforts, Citizen Group 2 CENTS ReportsSARASOTA, Fla., Aug. 13 /PRNewswire-USNewswire/ -- The following was released by citizen group 2 CENTS:
International Union of Police Associations (IUPA) has passed a resolution on ethical fundraising, pledging to comply with telemarketing standards that were previously ignored by the union. The resolution, presented by IUPA members and passed at the union's convention last week in Orlando, obliges IUPA to put an end to percentage-based compensation and put philanthropic mission above personal gain. Up until now, only 1.2% of the money raised through telemarketing by IUPA has gone to actual charitable law enforcement causes or scholarships.
2 CENTS, a citizens' group aimed at highlighting poor telemarketing practices that deceive the public, supports the resolution, which pledges to end IUPA's relationship with its for-profit telemarketing contractor, LAS, LLC. Last year IUPA raised $4.8 million in public donations, but spent $4.3 million of those donations in the fundraising process, including $1.9 million in fees to LAS, LLC.
IUPA consequently received a total of about $500,000 through telemarketing, but made only $53,900 in donations to law enforcement causes and scholarships, meaning only 1.2% of the total donations went to actual charitable causes. The rest went to officer salaries and meetings in fancy hotels. IUPA is running a deficit and depends on public donations to keep paying the over $600,000 a year in salaries to union leaders.
The resolution will also put an end to percentage-based compensation for telemarketers. Previously telemarketers received a percentage of whatever they raised; they will now receive an hourly wage, returning integrity to the process.
"This resolution is the first step to cleaning up what was a deeply questionable fundraising process," said Jo-Ann Mort, spokesperson for 2 Cents. "We expect our law enforcement officers to value ethics and maintain integrity in all they do. By ending their relationship with LAS, LLC and adhering to the standards set forth by the Association of Professional Fundraisers, IUPA is making a move in the right direction."
For more information go to: www.centsonline.org and www.policingiupa.org
First Call Analyst:
FCMN Contact:
http://www.policingiupa.org/

Source: 2 CENTS
CONTACT: Jo-Ann Mort, +1-212-741-2400, for 2 CENTS
Web Site: http://www.centsonline.org/

It's about freaking time! Now if the rest of them would only do the same.

Fire unions break from telemarketing company

By Tony Holt, Hernando Today, Brooksville, Fla.
Feb. 28--SPRING HILL -- Both of the local fire unions severed their ties with the charity telemarketing firm after reports it had spent 85 percent of its collections.
Scott Edmisten, president of the Professional Firefighters of Spring Hill Local 2794, said the union voted in January to discontinue its business partnership with Bay Area Council Inc.
"We stopped having them calling for us," he said. "Nobody's talked about reuniting with them. I have no intentions of reuniting with them."
Edmisten said the union will continue with its boot drives to raise money for muscular dystrophy, but he doesn't know what other kind of fundraising the union will consider in the future.
"For now, we've suspended all donations until we figure out what we'll do," he said. "We've been floating ideas."
The Hernando County Professional Firefighters Local 3760 announced earlier this month its union members agreed to do the same.
All of its fundraising will be done "in house," said President Bobby Rae.
Both he and Edmisten said they were unaware of the amount of money that was being spent by Bay Area Council for its own expenses.
The company also has solicited on behalf of Citrus County Professional Paramedics and EMTs, New Port Richey Firefighters, Pasco County Council of Firefighters, Zephyrhills Professional Firefighters, the Hillsborough Firefighters Benevolent Association and Polk County Firefighters, according to state records.
Jeff Calcutt, president of the Polk County Firefighters, said he was unaware of Bay Area Council ever collecting on his union's behalf. He said the union doesn't do any fundraising outside of its annual boot drives.
"That makes me mad if they're collecting money and not distributing it," he said.
Ron Howell, president of Bay Area Council, has refused to return messages.
The company's practices first came to light after Ron Wegner, of Hudson, complained to local legislators that his late mother received a $30 invoice from the Professional Firefighters of Spring Hill.
A telemarketer contacted her and asked for a voluntary donation. The invoice, in turn, looked like a bill, Wegner said.
He said it constituted fraud and blasted local fire unions for their fundraising practices.
"We at least got this concession," said Wegner.
He said he still receives calls from telemarketers claiming to collect for local fire and police unions.
Wegner thinks the public needs to be better informed, particularly seniors.
"Why are unions soliciting money to begin with?" said Wegner. "We already have charities for that ... People really need to watch out for these guys."
The American Institute of Philanthropy in Chicago states the average fundraising costs for charities that use telemarketing is 30 to 40 percent. Bay Area Council spent between 84 and 86 percent from 2004 to 2007, according to the Florida Department of Agriculture and Consumer Services.
Edmisten was defensive when he was first contacted in December about his union's affiliation with Bay Area Council. He refused a reporter's request to search through the union's financial records, which showed where the money was being distributed.
Unions are exempt from public records requests because they are private entities, he said.
Edmisten said the money collected from Bay Area Council in the past went toward a number of local charities and none went toward the union itself.
Edmisten had just been elected president. He said in December looking at the union's fundraising was among his top priorities.
The following month, members voted to discontinue dealing with Bay Area Council. Seeing only a small portion of the total revenue was the main reason, said Edmisten.
"We've decided telemarketing isn't the way to go," he said. "Not with those percentages."
Reporter Tony Holt can be reached at 352-544-5283 or wholt@hernandotoday.com.

The good people of Pennsylvania lost 4.6 million here, The numbers just keep getting bigger and bigger.

May 20, 2009

Attorney General Corbett announces legal action against several deceptive charities as part of national "Operation False Charity" investigation

HARRISBURG - Attorney General Tom Corbett today announced that the Attorney General's Charitable Trusts and Organizations Section has taken legal action against three organizations, claiming to be charities, who are accused of using deceptive or misleading practices to secure contributions from Pennsylvania residents. 

"Bogus charitable pleas hurt every Pennsylvania resident, taking money that could be used to improve our communities and putting it into the pockets of unscrupulous fundraisers," Corbett said. "During our current economic downturn, legitimate charities need more assistance than ever, and we are committed to identifying and prosecuting people and groups who try to take advantage of the generosity of our citizens."

Corbett said that legal actions taken by the Attorney General's Office over the past several months are seeking restitution and penalties of more than $4.6 million from three groups accused of using deceptive fundraising practices. 

"These groups often claim to be raising money to help local organizations, including police departments, fire companies and veterans groups - sometimes implying that paid telemarketers are actually police officers, firefighters or veterans," Corbett said. "In most cases, contributions to these questionable organizations go out-of-state, providing little or no benefit to groups in the consumers' communities."

Corbett said the groups named in legal actions taken by the Attorney General's Charitable Trust Section include:

• The Publishing Group, Inc., of Charlotte, North Carolina, doing business as The Law Enforcement Times, The Drug Prevention News, The Volunteer Fireman, The Rescue Squad and The United Veterans' Report.  The lawsuit also named several telemarketers who sold advertisements for these publications.
  • Collectively, the individuals involved in this scheme have been ordered to pay $4,060,839.50 in fines, penalties and restitution. 
• Robert M. Friend and Shao Mei Wang, of Gig Harbor, Washington, operating as the Disabled Firefighters Foundation, the American Veterans Coalition and the National Association of Disabled Police Officers.
  • According to a January 2009 lawsuit, fundraising calls made to Pennsylvania residents generated a total of $528,000 in contributions, with no indication of any direct benefit to any local fire departments, police officers, veterans or children's burn camps operating in the state. The lawsuit seeks the return of those contributions along with fines and penalties.
• D.A.R.E. America, Inc., of Inglewood, California, along with Grand Slam Events and Liberty Events Group, Inc., of Norristown, PA.
  • An Assurance of Voluntary Compliance was filed on February 26, 2009, concerning allegations of misrepresentations during fundraising calls, failure to make proper disclosures to consumers and failing to properly register as a charitable organization.  The defendants pay $65,000.

Additionally, Corbett noted that the Charitable Trusts Section has another ongoing investigation involving a fundraising group claiming to be raising money for law enforcement services in Pennsylvania, in violation of the terms of a previous court settlement with the Attorney General's Office.  Detailed information about that investigation will be released in the near future.

They don't just take your money, they take your products and services too.

Police Investigate Fraudulent Solicitations
	Advisory ID: 08-727 Advisory Date: 7/18/2008 Contact:    From:
	Detectives from the Montgomery County Police Financial Crimes Section are investigating fraudulent solicitations that occurred in 2008 targeting Montgomery County citizens and businesses in the name of Montgomery County law enforcement agencies. In May 2008, the Montgomery County Sheriff’s office conducted an investigation in response to numerous complaints from local businesses and citizens as to the validity of individuals requesting and obtaining donations and other services in the name of the Montgomery County Deputy Sheriff’s Association (MCDSA). The preliminary investigation revealed that Derek Williams, age 48, of Orange, New Jersey, and Daniel Earl Soat, age 49, of Pompano Beach, Florida, were operating as telephone solicitors under the employment of Leonard Stanley, owner of S&M Marketing, Inc. in Silver Spring. Williams and Soat had utilized pledge sheets, business cards, and vehicle window stickers bearing the name and emblem of the MCDSA and pledge sheets bearing the name and emblem of the Fraternal Order of Police, Montgomery County Lodge #35 along with various other forms of documentation to obtain free and discounted hotel rooms in Montgomery County from which to conduct their business. Williams and Soat conducted telephone solicitations to illegally obtain donations from several Montgomery County businesses and citizens. They often conducted the solicitation under the name of MCPD Post 2979 or a similar-named organization which does not exist. Arrest warrants for theft scheme and fraud were obtained for both Williams and Soat. The arrest warrant for Williams was served. He was later released on his own recognizance. Soat remains at-large. The Montgomery County Police Department, Montgomery County Sheriff’s Office, and the Montgomery County Fraternal Order of Police Lodge 35 would like the public to know that they do not solicit donations by telephone. Montgomery County Police would like to hear from anyone who may have been victimized by donating funds. Anyone who has information to provide is asked to call Montgomery County Police at 301-279-8000. # # #

Some Cops Are In On The Scam With The Fundraisers - $747,393 More Lost

Former deputies guilty of grand theft

By CHRISTOPHER BOBBY Tribune Chronicle

POSTED: May 16, 2009

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Article Photos

Tribune Chronicle / R. Michael Semple
Former Trumbull County Sheriff’s deputies Pete Pizzulo is escorted from the courthouse on Friday. To view or purchase these photos or others, visit cu.tribtoday.com.

WARREN - Two once-prominent investigators for the Trumbull Sheriff's Office were found guilty Friday of starting a fundraising organization to teach the dangers of drug and alcohol abuse and then pocketing most of the donations.
Sgts. Anthony Leshnack, 41, of Girard, and Peter Pizzulo, 46, of Howland, used more than $2,000 for an August 2004 hotel stay at Treasure Island Casino in Las Vegas. They spent more than $4,600 on 10 weapons they said were for departmental use, then kept eight of the weapons, sold one to a another deputy and gave another away as a gift.
In all, an investigative report compiled by Ohio Bureau of Criminal Identification and Investigation, or BCI, that was released Friday, outlined more than 40 ''specific overt acts'' between August 2004 and April 2008, outlining more than $55,000 in which the then-deputies used funds raised by their organization for their benefit and that of their family and friends.
In all, though, the two are charged with theft of between $5,000 and $100,000, which carries potential sentences of 6 to 18 months in prison and a $5,000 fine. However, they could be eligible for probation, when they would be ordered to make full restitution.
Among the overt acts outline in the report are:
n Both deputies used 62 checks drawn on an account for ''Ohio Narcotics Officers Association'' to pay for $18,494 in cell phones and cell phone services for themselves, family and friends about a year ago;
n Leshnack used $1,100 as a buyin for a poker tournament and other money for dance or karate lessons and Christmas gifts for his kids;
n Pizzulo bought countless tools and supplies at Home Depot and used a credit card from the organization to have rotors installed on his father's vehicle;
n Pizzulo used $470 to send his daughter to summer camp at Camp Fitch in Pennsylvania;
n Pizzulo paid $250 to transport his step-daughter's horse to the Ohio State Fair, and another $835 in eight purchases for items needed for the trip;
n Leshnack bought $690 in sheriff's department uniforms and was then reimbursed by the county for the clothing;
n Leshnack bought an $898 TV-treadmill with donations and then gave the equipment to a local gym when he found out the organization was under investigation;
n Leshnack wrote nine checks totaling $2,560 for entrance and sponsorship fees for sporting activities for his children;
n Leshnack wrote 34 checks totaling $1,653 to pay for home Internet and his monthly cable TV bill;
n Leshnack charged $1,064 at Sam's Club for personal items;
n Pizzulo charged $129 for mostly alcoholic drinks at Alberini's restaurant; and
n Pizzulo spent $297 for clothing for himself from Dillard's Department Store.
On Friday, the two former deputies stood with their attorneys before Trumbull Common Pleas Judge W. Wyatt McKay and pleaded no contest to bills of information charging them each with fourth-degree felony charges of grand theft.
They were found guilty and ordered to undergo a pre-sentence investigation by Adult Probation Officers, who will set a precise amount of restitution to be made to a Charitable Trust Organization of the Ohio Attorney General's Office.
Defense attorney J. Gerald Ingram was successful in convincing McKay to forgo the use of any handcuffs when both men were taken to Trumbull County Jail for formal booking.
Special prosecutor David Joyce, from Geauga County, pointed out the two former detectives, who resigned Nov. 3, still have about $20,000 in their possession - an amount McKay ordered forfeited and forwarded to the Attorney General as well.
Both Ingram and Joyce lashed out at charitable telephone solicitation firms in general and in particular a similar telemarketing company called Xentel that Ingram said recruited the two deputies and convinced them to start and incorporate the ONOA.
''These companies can rake in up to 90 percent of the donations. It doesn't go to benefit any kids,'' Ingram said.
Joyce pointed out the companies are completely legal, but are allowed to charge as Xentel did 85 percent of the donations brought in.
Under an agreement, the ONOA got 14 percent and one percent went to Brent Mager. Mager is a professional fundraiser, who was one of the men that suggested Leshnack and Pizzulo start the ONOA, according to the BCI report.
A detailed report compiled by Special agent Dennis Sweet of the Ohio Bureau of Criminal Identification and Investigation says Xentel, which operates out of Canada and Florida, was paid $596,379 between July of 2004 and April of 2008. ''It is difficult to calculate the total amount raised by Xentel due to the changing agreement,'' the report states.
''The ONOA primarily used (a Chase Bank account) to receive and distribute the funds raised by the charity. From July 2004 to April 2008, a total of $747,393 was deposited in the account and $693,905 in checks were written on the account,'' Sweet's report states.
Another $33,074 was charged to credit cards and was paid from the same ONOA account.
Sheriff Tom Altiere terminated both men following an internal review that turned up allegations of ''conflict of interest, dishonesty, untruthfulness and failure to observe laws.''
Last October, Altiere asked BCI to investigate the deputies' involvement with the ONOA.
In 2002, Pizzulo and Leshnack were charged in connection with a brawl outside Gasoline Alley, a Niles bar. The charges were later dropped due to inconsistencies among the parties, but an internal investigation at the sheriff's office resulted in the two receiving written reprimands for violating policy.
Pizzulo also has been convicted of lying on an affidavit for a search warrant when he worked for Brookfield Police Department.
In 2003, the two traveling to Mansfield to collect a prisoner, rescued two women from a burning vehicle. The women were trapped in the vehicle, which caught fire after a crash. They pried open a door to free the women before the truck was full of flames. They were recognized by the Ohio Senate for their actions.
Both men also received commendations as crime scene investigators with the Trumbull County Homicide Task Force, formed by Trumbull Prosecutor Dennis Watkins. Watkins had asked that Joyce be called in as a special prosecutor after the conflict of interest arose.